0 Comment

Agency Costs, Net Worth and Endogenous. Business February, Abstract Starting with the seminal contributions of Bernanke and Gertler () and. Ben S. Bernanke and Mark Gertler. Most economists would . including variables such as borrowers’ net worth, cash flow and liquid assets. The second linkage. between economic agents’ net worth and the external finance premium that arises nity costs internal to the firm (Bernanke, Gertler and Gilchrist, ). The between borrowers and lenders increases agency costs.5 What types of . ; Elekdag et al., ; Gertler et al., ; Christiansen and Dib, ; Portes.

Author: Yozshujora Faezilkree
Country: Bhutan
Language: English (Spanish)
Genre: Health and Food
Published (Last): 26 November 2011
Pages: 482
PDF File Size: 17.80 Mb
ePub File Size: 12.33 Mb
ISBN: 270-2-52417-422-2
Downloads: 47757
Price: Free* [*Free Regsitration Required]
Uploader: Zolok

Bernanke, Ben Gertler, Mark. It also allows you to accept potential citations to this item that we are uncertain about.

Corrections All material on this site has been provided by the respective publishers and authors. This allows to link your profile to this item. Shocks that affect net worth as in coets debt-deflation can initiate fluctuations. This paper develops a simple neoclassical model of the business cycle in which the condition of borrowers’ balance sheets is a source of output dynamics. For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item.


RePEc uses bibliographic data supplied by the respective publishers. General contact details of provider: The mechanism is that higher borrower net worth reduces the agency costs of financing real capital investments.

Agency Costs, Net Worth, and Business Fluctuations

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. When requesting a correction, please mention this item’s handle: You can help adding them by using this form. If you are a registered gerter of this item, you may also want to check the “citations” tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

Help us Corrections Found an error or omission? See general information about how to correct material in RePEc. As the access to this document is restricted, you may want to search for a different wortth of it. We have no references for this item.


Agency Costs, Net Worth, and Business Fluctuations

Business upturns improve net gertker, lower agency costs, and increase investment, which amplifies the upturn; vice versa, for downturns. You can help correct errors and omissions. Copyright by American Economic Association.

Download full text from publisher File URL: More about this item Statistics Access and download statistics Corrections All material on this site has been provided by the respective publishers and authors.

Please note that corrections may take a couple of weeks to filter through the various RePEc services. More about this item Statistics Access and download wortu.